About allowances
Allowances are non-time-related payables that workers receive as part of their compensation.
Below is a list of the allowances that can be added to worker timecards in Wrapbook.
To learn how to add allowances, see Add an allowance to a worker's timecard.
If you want to add one of the items listed below to a worker’s timecard, but can’t find it in the dropdown menu, you’ll need to add it to the company’s Timecards & expenses preferences. To learn more, see Project preferences.
Allowance types
In Wrapbook, your company can enable the followign allowance types for workers:
Kit/Box Fee
A Kit/Box Fee is a payment for the approved and authorized use of a worker's "kit," which may include reusable equipment or expendables. Examples could include tape, camera, computer, sound equipment, gels, etc.
In the Add Kit/Box Fee popup, you can either List Kit Items manually by typing them into the box, or you can Select a file from your computer that contains the list of kit items
Kit/Box fee payments are taxable as rental income and reported on a worker's 1099-MISC if more than $600 in rental payments per calendar year, per production have been made. No tax withholding will be applied at the time of payment.
Mileage
A Mileage expense is payment for miles driven in a worker's personal vehicle for production needs.
In the Add Mileage popup, enter the Number of miles. The reimbursement amount will be automatically calculated according to the standard IRS per-mile reimbursement rate. Go to the IRS website to see the current rate.
In the Mileage log box, click Select a file to upload a mileage log file that’s saved to your computer. Alternatively, you can the mileage log as an IRS-required record of odometer readings that includes:
The odometer reading at the start of the trip
An odometer reading for each time the driver stopped
The odometer reading at the end of the trip
Mileage claims must match the numbers provided in your mileage log
Per Diem
Per diem is a daily allowance that a company provides to workers to cover production-related expenses while traveling.
Use the Per Diem popup to add individual per diem expenses for each day workers were granted per diem. If you submit multiple days of per-diem on a single per-diem expense, it will most likely exceed the daily non-taxable limit.
You can learn more about the daily non-taxable limits on the US General Services Administration’s website page, M&IE breakdowns
Wardrobe
Wardrobe expenses are treated as wages and may be taxed based on their type.
In the Add Wardrobe popup you can add two types of wardrobe expenses:
Allowance (taxable)
Select this option when the worker supplies his or her own wardrobe at the request of the producer. This allowance is treated as a wage and will be taxed. Pensioning is for SAG Music Video only.Cleaning (reimbursement)
Select this option when the producer pays for cleaning, repairs, and any other necessary maintenance of wardrobe assets
Wardrobe expenses are paid in flat sums to workers
Buyouts & Usage Fees
A Buyout is a flat fee payment made to workers (typically actors) instead of paying residual fees for subsequent uses or broadcasts of a project. This is commonly used in commercial work and films.
In the Add buyout popup, select the Buyout type: Residuals (Pensionable) or Other
Buyouts are flat sums paid to the worker, and aren’t included in their timecards
Buyouts are considered wages and may be taxed
Advance
An Advance is a payment made to a worker before work has been performed or completed on a project.
In the Add advance popup, be sure to include the total Hours worked. Tax agencies require this information to calculate state unemployment insurance obligations and benefits.
When adding this type of expense, you’ll be required to Select a file from your computer and attach it as proof of payment
Advances are for non-union workers only
Adding an advance will make the payment type available for reporting and fringe payments in the future. It doesn’t automatically trigger a worker payment.
If payroll includes a worker advance, the payroll can only be processed after calculation and proof of payment is reviewed by a Wrapbook payroll specialist
Advances will be viewable on the payroll invoice PDF, on the paystub post funding, and all payroll reports
Car, Cell phone, Computer, Living & Meal allowances
These allowances are reimbursements provided to workers for specific work-related use.
In the popup, you can add Notes about these types of expenses and Select a file on your computer to attach any associated documentation
These allowances are not taxed
Other
If you select Other, the notes or comments added to the allowance will be printed on the check stub
In the Add other wages/reimbursements popup you can add the following types of expenses:
Reimbursement (non-taxable)
Wages (taxable) - When adding a taxable wage item, you’ll be prompted to select the applicable Work type, and the Wage type. Wage types include Meal Penalty, Standard Time, Overtime, Agent Fees, Forced Calls, Travel Allowance, Vacation Pay, Unworked Holiday Pay, Consecutive Pay, Other Wage, Bonus, and Stipend.
Invoice- Invoices are for non-employees only. When you add an invoice expense, you must include the total number of hours worked. This is required to accurately report to tax agencies for state unemployment insurance. You can enter this information manually in the Notes box, or Select a file on your computer to upload as an attachment.